It's a funny thing about a crisis. No one ever believes it
will happen to him, and when it comes, most people are totally
unprepared for it.

This is as true in business as in the rest of life. How we handle a
personal crisis is often a mark of our character and being able to deal
constructively with a crisis and to communicate effectively while it is
in progress is usually an indication of how effective we are as managers
and professionals.

Crisis management during the Bhopal tragedy, the Gander air
accident, the Tylenol poisonings and the "tainted tuna" affair
all said things about the companies and organizations involved - some
decidedly positive, others negative. As such, they influenced the
perceptions of the marketplace about those companies, reinforcing that
effective crisis communication is as vital a part of managing your
perceptions (and thus your marketing) as anything else you do.

What identifies a crisis? Experts have pinpointed five key
characteristics. First, it's an action or incident that results in
events moving beyond normal operations.

Second, it is a situation that is always beyond your control for
some time: minutes or, sometimes, even years.

Third, it requires immediate action to regain control. Fourth, it
usually threatens people, property or reputation. Finally, it requires
the involvement of the most senior management to correct.

Crises are perceived differently by different people. There are
always at least two distinct target groups with whom you must
communicate when a crisis occurs: your employees and clients, and your
stockholders and others with whom you do business.

Employees (and also suppliers) view a crisis operationally. How
will this situation affect our operating ability, our jobs and our
future on a day-to-day basis? Clients, customers and others such as
bankers view it perceptually, in terms of its impact on your image, your
goodwill, your reputation and your ability to rise above the crisis.
Your crisis communications plan, therefore, should be developed for
different audiences with clear messages to satisfy each that you are in
control and moving forward in spite of the problem.

It has been said that crisis communications is 90% preparation and
only 10% inspiration and, like many other business maxims, this one is
fundamentally sound. But, of course, because most of us don't think
a crisis will ever happen, few of us have the 90% part in place, leaving
the 10% inspiration with a lot of work to do when the calamity occurs.
In these situations, because the crisis itself is demanding all our
management skill, the few resources we have left over for communications
are rarely inspired. So, it is vitally important to have a plan in
place, in advance, ready to go if needed. And if you never need it,
terrific.

The crisis plan has four main tasks. It alleviates speculation and
rumour (because sustained negative public opinion in itself eventually
becomes a crisis). It maintains and shores up employee and
client/community support for you and your business. It does what it can
to contain the crisis and to protect lives and property. It reinforces
your management ethics and values; in other words, don't compromise
your principles when a crisis hits, live by them instead. The way in
which the Tylenol scare was handled is a classic example of how a
company - Johnson & Johnson - turned a desperate situation around by
the application of its very strong moral values and principles.

Some of the major preparation" components of your plan should
be:

I) Designation of a

spokesperson.

All communications should be channelled through only one source.
Some organizations have two spokespersons: one for the employees and one
for other groups, but the fundamental principle is to reduce the extent
to which rumour, speculation and conjecture can get out of hand.
Usually, the most senior person acts as the spokesperson, but not
always. Pick the most senior credible person who is best able to
communicate well and clearly on his/her feet. The spokesperson always
forms part of the crisis team that should be selected to deal with all
elements of the crisis situation.

II) Prepare and keep up-to-date

all routine information on

The company: assets, inventories, personnel, vital statistics,
addresses, phone numbers, next of kin, main clients, customers,
suppliers, professional advisors and, very important, all key media in
your marketplace, including trade and professional journals. Having this
information at your fingertips reduces the amount of time otherwise
required to gather it up when the crisis hits and the questions come.
Time you won't have.

III) Develop a media plan:

Contacts (as mentioned), fact sheets on the business, access to a
room where the media can gather if necessary, training in media
relations for the spokesperson(s), information on advertising rates in
media that you may have to use, and so on. Some key tips on working with
the media are listed below.

IV) Do some role playing.

Simulate a crisis and put your spokesperson through the hoops. Many
organizations are starting to do this on a regular basis, and it boosts
morale and confidence to know that we're ready if necessary".

V) Open and maintain a crisis

logbook or handbook

This book records every element of the planning and communication
process to be used in a crisis. To the greatest extent possible, it
should also record day-to-day activities that occur during a crisis (and
maintenance of the logbook should be part of the overall plan). When the
crisis is over, a follow-up session should always be held to determine
what worked and what did not, using the logbook as a resource.

When the crisis occurs, there are key steps to be followed. First,
those people most directly affected must be notified ahead of all
others. Second, communication takes place with other groups who
"need to know" but may not be directly influenced by the
situation. Third, marshall all the facts in a central source as they
become available and use them as part of your crisis message while the
problem is in place. Fourth, make contact with the media if necessary or
(in the event that they contacted you in the first place) open the lines
of communication with them and keep them open. Fifth, be rigorous about
centralizing your messages to that speculation, fear, rumour and
conjecture are minimized.

Finally, remember these key principles that apply to communicating
with everyone, not just the media:

* Establish facts quickly and disseminate them accurately.

* Be honest. The more you cover up, the more opportunity you create
for illwill and misunderstanding.

* If you don't know an answer, say so. Try to get the answer
and pass it on. Don't guess, speculate or "wing it".
Never say "no comment". Instead, explain honestly why you
cannot comment.

* Keep your answers brief, simple, to the point and as unambiguous
as possible.

* Give the most important information first. The first point you
make is the one most likely to be remembered.

* Challenge innuendo, rumour and loaded questions.

* Do your best to stay cool, calm, and, very important, polite.
It's a known fact that good manners, even in a hostile or explosive
situation, almost always reduce tension and make interpersonal
communications more constructive.

We all hope that a crisis never comes, but, if it does, a clearly
thought out crisis communications plan can help you work your way
through a potentially very difficult situation.

COPYRIGHT 1991 Canadian Institute of Management
No portion of this article can be reproduced without the express written permission from the copyright holder.